Link sued over Neil Woodford investment scandal as lawyers accuse it of letting the fund ‘go off the rails’
Lawyers have filed a claim against a business embroiled in the Neil Woodford investment scandal.
Harcus Parker filed its case yesterday against Link Fund Solutions, which was supposed to supervise Woodford on behalf of savers.
Woodford’s Equity Income fund was suspended in 2019, as investors rushed to get their money back following poor performance.
Scandal: Neil Woodford’s Equity Income fund was suspended in 2019, as investors rushed to get their money back following poor performance
Claims emerged that Woodford sailed close to the wind, investing in smaller, riskier firms not listed on the stock market and, in an attempt to dodge City rules to protect savers, dictating how many of these stocks he could hold, he listed their shares on the Guernsey stock exchange.
Daniel Kerrigan, at Harcus Parker, said Link ‘let the fund go off the rails’. Eventually Link shut it.
But several sales, to return the cash to savers, were at knock-down prices, causing around £1billion of losses to investors.
More than £100million of savers’ money is still locked inside.